,t ,,
P
Alit i wu
III aIV
3
Vol. XCII No. 1 Copyright 1982, The Michigan Daily Ann Arbor, Michigan-Thursday, September 9, 1982-Section A Eighty-six Pages
4-.'.,
University investments back
~~ nuclear weapons production'
By BARRY WITT
The University has used its corporate
voting power to support the production of
nuclear weapons, the construction of nuclear
power plants, and the sale of oil to the South.
African government, a review of proxy votes
shows.
But at no level of the administration, from
the Regents to the executive officers to the in-
vestment office, has there been discussion of
the possible ethical implications of these in-
vestment decisions.
AS A SHAREHOLDER in more than 100
corporations, the University votes by proxy
every year on a wide variety of shareholder
resolutions concerning social issues. And
almost without exception, those proxies are
voted with management-against the
resolutions, whether they come from the
right, left, or center of the political spectrum.
That means, for example, that last spring
the University opposed the efforts of a group
of General Electric Corp. shareholders who
were trying to stop the company from
managing a nuclear weapons facility in St.
Petersburg, Fla.
The University voted every share of its
more than $1.5 million of GE stock for the
management's position that it is not the place
for private business to question the policies of
the nation's elected officials.
In voting with management, the University
rejected the opposition's argument that com-
panies such as GE are increasing the
likelihood of nuclear war by producing the
weapons of destruction.
UNIVERSITY administrators say the in-
vestment office votes with management
because the Regents have never said to do
otherwise. The only exception is for
resolutions dealing with South Africa, but
even there, the option to vote against
management is restricted by a lack of bread-
th in the University's policy.
As part of a 1978 resolution on investments,
the Regents approved a provision to appoint a
committee to evaluate any issue that "in-
volves serious moral or ethical questions
which are of concern to many members of the
University community."
In the four years since that policy was adop-
ted, no issue has inspired its implementation.
In February 1981, when 250 students and other
members of the community protested the ad-
ditions of several defense-oriented cor-
porations to the University's list of potential
investnents, no such committee was
discussed. The Regents approved the ad-
ditions without comment.
"THE REGENTS were obviously conscious
of (the possibility of setting up a committee)
at that time, but they elected not to address
the issue," said James Brinkerhoff, Univer-
sity vice president and chief financial officer.
Unless the Regents or other members of the
University' community are shareholders in
these companies, it is unlikely that they would
know that the University has a voice in these
issues. The voting procedure is a routine mat-
ter of the investment office, and the Regents
customarily do not consider any of these
issues.
Thus, members of Brinkerhoff's staff are
among the few people in the community who
know which specific issues the University is
supporting. Several of these administrators
receive monthly reports from the Investor
Responsibility Research Center (IRRC),
which explain the issues at hand and report on
how institutions across the country are ad-
dressing them.
As possessprs of that information, however,
See UNIVERSITY, Page 10
ow, a superstar Daily Photo by BRIAN MASCK
A little boy stares in awe as the idol of many boys his age (and many boys a lot older than him)
signs a football at the Wolverines' recent Photo Day. If things go as planned, Anthony Carter will
leave a lot of people in awe-especially opposition defenders-beginning this Saturday.
nother
5%.
Tuition balloons again
l 1
U'turn~s
dorms.. . minorities ... Greeks.. . Union...
CRISP... student groups... administration
In the city
litics ... crime. . . housing.. . shopping...
igh technology ... transportation
By BILL SPINDLE difficulty, but
"You get what you pay for," reads can pay $6,00(
the old adage. "Any tuit
You've been told you're about to get especially ba
the finest education available from a financial aid
state institution. You also are about to LSA junior, W
pay the highest price in the country for to have two
a state school. meet from th
THE UNIVERSITY Regents ' the other so 14
unanimously approved in July an Other stud
average 15 percent tuition hike to make crease was ju
up for what they saw as a lack of money "I'm disap
from a beleaguered state budget. more," sai
Undergraduate fees are up 16 percent student Dave
over last year, and most graduate why the Boa
tuitions have increased 13 percent.
The tuition hike is needed to make up
an anticipated $16 million in increased rer
utility costs, University employee
benefits, allocations for student finan-
cial aid, and other expenses due to in-
flation. t r
THOSE COSTS combined with the
expectation that the University will The next sea
receive no increase in funds from the budget bal
state this yearhave left student tuition wrangling inl
as the only source of revenue available the future1
to balance the University's budget, University.
University administrators said. After two1
So far, student reaction to the in- year and a def
crease has been mixed. Some have said this summer,
the increase was too steep, but others at educationa
have said the hike was justified given the 1981-82 bu
the University's financial position. fiscal year this
"It's starting to get to the point where governor's off
it's not worth going to school," said ALTHOUG
Eric Rubin, an engineering senior. proposal has k
MELISSA KEEHN, a junior in LSA, of cut into hi
did not feel the increase was justified. guaranteed t
"(the University) may be in financial month. Thec
Funds shit
to combat
budget woes
By BILL SPINDLE
In the face of tough economic times, the University
has embarked on a long-range financial reallocation
plan which administrators say will allow the Univer-
sity to improve, even as the state's economy remains
bleak.
The "five-year plan," as it was dubbed when it was
instituted last February, will shift $20 million from the
budgets of certain University divisions to other, "high
priority" areas of the University.
THE PLAN was developed as a response to the
economic troubles facing the University and out of the
desire to maintain the high academic and intellectual
standards of the institution, said Billy Frye, vice
president for academic affairs and architect of the
plan.
'As state support for the University has fallen well
behind the pace of inflation for more than 10 years-
and all state budgets have been cut in each of the last
two years-tuition hikes and low staff pay raises have
t what makes them think I
I in tuition?"
ion hike is really bad
lanced against the loss in
this year," said another
Wendy Shumacher. "I have
jobs. One to make ends
e loss in financial aid and
can keep living here."
ents, however, felt the in-
stified.
ppointed I have to pay
d Rackham graduate
Divait, "but I understand
ird of Regents increased
iding state aid cuts
eaten 'U' finances
veral weeks of end-of-year
ancing and financial
Lansing will be crucial to
financial plans of the
budget cuts earlier this
ferral of nearly $20 million
the state is again looking
d cuts as a way to balance
.dget before the end of its
October, as is required by
ice.
H one budget cutting
been defeated, some form
gher education is almost
o come by the end of this
only real question is how
much it will be.
Early last month the University was
notified that August state aid funds of
more than $8 million would be withheld
in preparation for a larger executive
order budget cut to be issued from the
governor's office.
That executive order arrived late last
month and included nearly $7.5 million
in cuts from the University's coffers.
Statewide $112 million was to be cut
from education, but Milliken's proposal
was rejected last Thursday by mem-
bers of the House and Seante ap-
propriations committees, because of its
deep cuts to state schools.
See POSSIBLE, Page 8
Daily Photo by BRIAN MASCK
Gettintg angry
Tuition is skyrocketing, schools are threatened with elimination, and studen-
ts are starting to react. Fears that the University is leaning towards
technology over the humanities prompted student protests last year. For a
report on Michigan's robotics craze, and student reactions to it, see Page 8-C.
tuition. Students shouldn't be surprised
that they have to pay for an education."
MARK Badalamenti, an LSA fresh-
man, agreed. "It's expensive, but I'm
for it as long as everything possible is
being done to keep the cost down and to
make possible (budget) cuts."
Tuition for in-state freshpersons and
sophomores jumped $133 to $855 per
term, while non-resident lower division
students will pay $2874, $413 more than
last year.
Junior and senior residents will be
charged $1106, $149 more than last year,
See TUITION, Page 8
Kelly gets life
for '81 Bursley
idorm murders
Sports
football . ., basketball .. hockey. . . recrea-
tional sports
By GEORGE ADAMS
More than a year after the tragic
shootings of two University students in
their Bursley Hall dormitory, Leo Kelly
was sentenced' to life in prison August
13 following his conviction on two coun-
ts of first degree murder.
In a twenty-minute statement after
the sentencing, Kelly told a packed
courtroom he was treated unfairly by
"a white, racist judicial system."
William Waterman, Kelly's attorney,
said he plans to appeal the decision, a
process that likely will take many mon-
ths.
ALSO MAKING statements after the
sentencing was a local activist group,
called The Committee To Defend Leo
rights groups.
Jurors found Kelly guilty June 21,
just hours before John Hinckley was
found not guilty by reason of insanity
for the shooting of President Reagan.
Kelly attempted a defense of insanity
as well.
Witnesses testified they saw Kelly
throw a Molotov cocktail down the
hallway of the sixth floor Bursley
Douglas Hall where he and one of the
victims, Edward Siwik, lived.
WHEN THE hall filled with smoke
and the residents emerged from their
rooms in response to the fire alarm,
Kelly opened fire with a sawed-off 12-
gauge shotgun, shooting several times
and hitting Siwik and Douglas
McGreaham, a resident advisor from
:
I I